“As far as the budget is concerned, every day is a crucial test for us. The monthly figures we release are scrutinized by the markets and the (EU) Commission, but the first quarter will be certainly crucial,” Finance Minister George Papaconstantinou said in an interview published on Greek newspaper Ethnos. “The measures we have already announced will be implemented unswervingly and will pay off,” he added.
In its fiscal plan endorsed by the European Union last week, Greece aims to reduce its ballooning deficit to below 3 percent of GDP by 2012 from 12.7 percent in 2009, the euro zone’s highest. The government has said it will cut waste in the public sector and reform taxation to achieve the target, but the EU has said it wanted further details by March 16 on the steps planned and world markets still doubted their effectiveness.
How the government will tackle its fiscal woes is expected to be seen this week when it plans to unveil new tax and wage policy bills. Papaconstantinou said both bills will be fair. “Under these circumstances, all of us need to contribute in a fair way, according to our capabilities, while the weakest will be protected,” he said.
